MAP and FMD Funds Grow Mexican DDGS Market
Over the past five years, Mexico’s imports of U.S. distiller’s dried grains with solubles (DDGS) have grown from 360,000 metric tons in 2006 to just over1.6 million tons in 2010. With the support of Market Access Program (MAP) and Foreign Market Development (FMD) funding, the U.S. Grains Council encouraged this upward trend by forming relationships with local end-users in Mexico. This approach to building bridges and growing markets can be seen in the USGC’s activities in the Jalisco area of Mexico, where the Council engaged potential end-users to spread information on the benefits of DDGS utilization.
Jordan First to Import US DDGS in the Middle East
Historically, distiller’s dried grains with solubles (DDGS) has been an unknown product throughout Jordan and the Middle East. Promotion of DDGS in the Middle East has two significant obstacles. Ethanol has been viewed with suspicion as a possible competitor to Middle Eastern oil and DDGS seen as an offshoot of the forbidden alcohol trade. However, two years of marketing efforts by U.S. grain farmers, bolstered by Market Access Program (MAP) and Foreign Market Development (FMD) program funds, have raised the positive profile of U.S. DDGS in the region.
Program in Indonesia Generates 1,750% Return on Investment in FY11
U.S. farmer checkoff funds, combined with Market Access Program (MAP) and Foreign Market Development (FMD) funds, spent in Indonesia generated a return of 1,750 percent and resulted in more than $52.5 million in new U.S. grain purchases in fiscal year 2011.
Indonesia’s food sector has been expanding rapidly over the last few years and the trend is set to continue, presenting clear opportunities for processing companies and U.S. grain exports. One company in particular, PT Redwood, has worked to become the premier provider of corn-based products and starch derivatives for Indonesia—Asia’s third most populous country.
MAP and FMD Funding Boost Council Efforts in South Korea
U.S. grain farmer checkoff investments in international market development, combined with USDA Foreign Market Development (FMD) and Market Access Program (MAP) funds, have helped grow U.S. distillers dried grains with soluble (DDGS) exports to South Korea by almost 500,000 metric tons. As a result of this promotion, U.S. DDGS has a bright future in this country.
Since the beginning of these promotion efforts in 2004, the U.S. Grains Council has facilitated export promotion trips to and from South Korea, sponsored a number of feed trials and helped facilitate contact between U.S. growers and producers with their end-user counterparts in Korea. The outcome of these efforts has been to drastically increase the utilization of U.S. DDGS in the South Korean market.